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Real Estate Market in Krakow and Małopolska Małopolska Agencja Rozwoju Regionalnego S.A., Krakowski Park Technologiczny Sp

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Real Estate Market in Krakow and Małopolska Małopolska Agencja Rozwoju Regionalnego S.A., Krakowski Park Technologiczny Sp Real Estate Market in Krakow and Małopolska Małopolska Agencja Rozwoju Regionalnego S.A., Krakowski Park Technologiczny sp. z o.o. and Kraków Nowa Huta Przyszłości S.A. jointly implement a project titled:“POWER UP YOUR BUSINESS IN MAŁOPOLSKA”, co-financed by the Regional Operational Programme for the Małopolska Region for 2014–2020 (RPO WM) under Priority Axis 3: “Entre- preneurial Małopolska”, measure: “The Internationalisation of Małopolska Economy”, sub-measure “The Economic Promotion of Małopolska”. The objective of the project is to directly promote the economic potential of Małopolska on the international scene, improve the competitiveness of regional companies on foreign markets and support foreign investments in Małopol- ska. The measures of the “Power up...” project include participating in foreign fairs, organising trade missions and regional workshops, issuing publications and creating a modern information system for the entrepreneurs of Małopolska. We combine the potential of our institutions:Małopolska Agencja Rozwoju Regionalnego S.A. (1993): the largest regional business institution implementing entrepreneurial support programmes and EU projects, offering financial instruments to implement business projects, providing services for investors and conduct- ing international promotion activities. www.marr.pl Krakowski Park Technologiczny sp. z o.o., managing the Special Economic Zone in Małopolska, creating modern aid systems (incubator, seed capital, clustering, etc.), primarily for ICT compa- nies. www.kpt.krakow.pl Kraków Nowa Huta Przyszłości S.A., managing the largest investment area in Krakow, acting in the area of logistics projects, new technologies, recreation and leisure, urban planning and development of post-industrial areas. www.knhp.com.pl Wydawca Kraków Nowa Huta Przyszłości S.A. ISBN 978-83-948707-2-0 Graphic design and development, typesetting, text makeup, printing and binding: Grafpol Agnieszka Blicharz-Krupińska ul. Czarnieckiego 1 53-650 Wrocław tel. 507 096 545 [email protected] Contents 1. Introduction ............................................................................................................................... 5 1.1. Real Estate market in Krakow and Małopolska ................................................................... 9 2. The market of commercial real estate in selected cities of Małopolska ................................ 15 2.1. Offices ............................................................................................................................... 15 2.2. Hotels ................................................................................................................................ 16 2.3. Retail spaces ...................................................................................................................... 21 2.4. Warehouses ...................................................................................................................... 23 3. The market for housing investments in Krakow ...................................................................... 25 3.1. Primary market - Kraków ................................................................................................... 26 3.2. Primary market – Tarnów and Nowy Sącz ......................................................................... 28 3.3. Aftermarket ....................................................................................................................... 30 4. Tenements and historical areas in Krakow .............................................................................. 39 5. Single-family houses and lands ...............................................................................................45 5.1. Single-family houses - Kraków ........................................................................................... 45 5.2. Land - Kraków .................................................................................................................... 47 5.3. Suburban areas of Krakow ................................................................................................ 47 5.4. Attractive cities and areas of Małopolska ......................................................................... 49 6. Conclusions .............................................................................................................................. 51 1. Introduction The following document is an analytical report containing substantive content for the purposes of the economic promotion of Małopolskie province within the„Power up your Business in Małopol- ska” project, co-financed by the European Union Regional Development Fund under the Regional Operational Program of the Małopolskie Province 2014-2020, sub 3.3.1 „Economic Promotion of Małopolska”. Data for 2017 relate to the situation at the end of September this year, or indicate average values based on the first three quarters of 2017. The data come mainly from official statistics and commercial reports published by research insti- tutes and marketing agencies operating in the real estate industry in Poland, as well as by special- ized portals and publishers involved in the analysis of the real estate market. The monetary values in PLN were also given in EUR, converted according to PLN 4.25 = EUR 1. Characteristic of Krakow and Małopolska GEOGRAPHY and ADMINISTRATION The province of Małopolskie is located in the southern part of Poland, and its southern border is also the border between Poland and the Republic of Slovakia. In the west it bor- ders with the Śląskie province, in the north with the Świętokrzyskie province and in the east - with the Podkarpackie province. Małopolska is the 12th province in the country in terms of surface area. According to Central Statistical Office, it covers an area of 15,183 km², which is 4.9% area of the whole country1. The population density is 222 people per 1 km². In total, the province has 61 cities. Besides Krakow there are 10 largest cities within Małopolskie province: Tarnów, Nowy Sącz, Oświęcim, Chrzanów, Olkusz, Nowy Targ, Bochnia, Gorlice and Za- kopane. DEMOGRAPHY The population status as at 06/30/2017 was 3,386.2 thousand. people, 51.5% of which were women, and 48.5% were men (for every 100 men there were 106 women). In the years 2002-2016, the region’s population increased by 4.5%2. KRAKÓW – THE CAPITAL OF THE REGION The capital of the region – Kraków, is the second largest Polish city both in terms of area (surface of 327 km²) as well as the population of 766,700 residents (data as at 06/30/2017)3. The average gross monthly remuneration in the enterprise sector is PLN 4,996.95 1 „Statystyczne Vademecum Samorządowca 2016”, p. 1; Statistical Office in Krakow, 2017 2 Website http://krakow.stat.gov.pl/ 3 http://krakow.stat.gov.pl/ 5 (EUR 1,175.75) and is PLN 595 (EUR 140) (+13.6%) higher than the average for the entire region. There are 137,7584 business entities located in Krakow, which is 36.5% of all entities in the region. TRANSPORT Kraków is located near important communication routes: the A4 motorway running from west to east (from the border with Germany to the border with Ukraine) and the A1 mo- torway running from north to south, which will eventually connect Gdańsk with the Czech border. 10 km away from the city center the largest regional airport in Poland is located – the John Paul II International Airport. For several years, the number of passengers checked at Kraków Airport has been systematically growing – from 3.82 million people in 2014, 4.22 million in 2015, 4.98 million in 2016, and in 2017 – 5.83 million5. From the main train station in the city center, you can easily get to the largest cities in Poland by train. Trains to Warszawa - the capital of Poland - leave almost every hour, and the journey takes about 2.5 hour. Kraków is also famous for its very well-organized communication network based on trams and bus- es. The total length of tram lines is 354 km, on which 27 tram lines have been marked out. The total length of bus lines exceeds 2,280 km, followed by 159 bus lines. The total number of passengers transported in 2016 amounted to 375 million6. Residents can also use the city bike network “Wavelo”, which since May 2017 has already more than 150 stations with 1.5 thous. modern bicycles. Currently, intensive railway investments focus on development of Fast Agglomeration Railway (SKA) – railway connection system between the center of Krakow, its suburbs, the airport and the most important towns in the region. The SKA system fits into the policy of sustainable transport development: based on public transport, cycling and pedestrian traffic, using Park&Ride car parks. HIGHER EDUCATION AND SCIENCE There are 29 universities in the Małopolskie Province7 (public and non-public) in which there are more than 168 thous. of students8. The scientific staff is approximately 12 thous. people, including 1,400 professors9 and Kraków is one of the most important academic centers in Poland. BUSINESS Kraków is the largest Polish center of business services – around 160 companies oper- ate in the Kraków agglomeration, which accounts for almost a quarter of the Business Service Sector (BSS). There are also three subzones of the Krakow Special Economic Zone (there are 36 subzones of the SEZ in the whole region) which are managed by the Kraków Technology 4 http://krakow.stat.gov.pl/ 5 http://www.krakowairport.pl/pl/b2b,c56/uslugi-lotnicze,c57/bettercountonnumbers,c58/statystyki,c68/statysty- ki-miesieczne-2017,a983.html
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